Global markets saw a mixed bag overnight, with US indices fluctuating as Federal Reserve Chairman Jerome Powell’s comments on inflation and interest rates weighed on sentiment.
The S&P 500 dropped on Wednesday after the Federal Reserve kept interest rates steady in its first policy meeting of the year, while Nvidia saw a decline following a strong prior session.
The broad market index fell 0.47%, closing at 6,039.31, while the Nasdaq Composite dropped 0.51% to finish at 19,632.32. The Dow Jones Industrial Average lost 136.83 points, or 0.31%, ending at 44,713.52.
Nvidia shares hit session lows after Bloomberg News reported that officials from the Trump administration had discussed restricting the company’s chip sales to China, following the launch of the DeepSeek AI model. Shares ended the day down 4%, and for the week, the AI powerhouse is down over 13%.
Overnight, the yield on the US 10-year note remained largely unchanged following earlier gains.
Bitcoin saw a 2.8.% gain, supported by volatility in US equities. Commodities were also mixed, with Brent crude falling 0.8% to $76.85 per barrel, while iron ore rose 1% to $104.70 per tonne.
ASX futures are pointing to a flat start, reflecting the uncertainty in global markets. The Australian dollar fell to 62.29 cents, impacted by the potential delay in US rate cuts.
Looking ahead to the day, several key events and corporate releases are expected to impact the Australian market. New Zealand’s December trade balance is due at 8.45am, and ANZ’s January NZ business confidence figures will be released at 11am.
Several Australian companies are also set to release quarterly results, including Mineral Resources, Sandfire Resources, Syrah Resources, Karoon Energy, IGO Ltd, Vulcan Energy Resources, and Zip Co. There’s also potential market interest in Star Entertainment, with Oaktree Capital reportedly considering a deal.
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Source: Finance News Network
